The Utah Legislature is advancing House Bill 306 (HB306), which would create a gold and silver-backed electronic payment system for state transactions. Sponsored by Representative Ken Ivory, the bill has passed the House and is under Senate consideration.
HB306 mandates the state treasurer to develop a system allowing vendors to receive payments in gold or silver. This system would store physical precious metals within Utah and permit participants to redeem them.
In an interview with KSL News Radio, State Treasurer Marlo Oaks commented saying, “The value of your dollar is going down and gold has held its purchasing power.”
Proponents argue that this payment option could help vendors preserve purchasing power amid inflation. State Treasurer Marlo Oaks noted that, as gold often appreciates, opting for payment in gold may reduce inflation’s impact.
This initiative builds upon Utah’s 2011 Legal Tender Act, which recognized U.S.-minted gold and silver coins as legal tender within the state. HB306 represents a further step toward integrating precious metals into everyday transactions.
Conservative commentators have praised the bill, suggesting it could lead to a gradual return to a gold standard. Some argue that Utah is nearing the establishment of a voluntary, de facto gold standard.
“Transactional gold already passed the Utah House. We are so close in the Senate. This could be the first state where we can begin constructing a voluntary and gradual, de facto gold standard,” Daniel Horowitz wrote on X.
If enacted, HB306 would position Utah as a leader in adopting alternative payment methods, potentially influencing other states to explore similar measures.
